Thus, as a backdrop for this upcoming speech and continuing a much deserved tribute to Bernanke's key role in helping the US avoid a Deep, Prolonged Financial Depression, I think it would be helpful to update just what has been going on with the largest US Financial Companies Audited Earnings since the disastrous 2008 Financial Meltdown.
Below is a chart summarizing the last four posts.
What it says is that the 401 largest US Financial Companies generated Audited US GAAP Total Earnings for 2014 and 2013 Combined of $790 bil as compared with Total Losses for 2009 and 2008 Combined of $253 bil...... resulting in a Total Earnings Improvement of a monumental $1.043 Trillion.
What it also says is that if you exclude both Fannie Mae and Freddie Mac, the Total Earnings Improvement declines from $1.043 Trillion to $687 bil..... still a huge number. Excluding both Fannie Mae and Freddie Mac, the Total Earnings for 2014 and 2013 Combined of $636 Bil results in a phenomenal 1,358% increase as compared with the Total Losses for 2009 and 2008 Combined of $51 Bil.
When the 401 largest US Financial Firms generate across-the-board Total Audited US GAAP Losses of $259 Bil in 2008, the country is headed for a Prolonged, Deep Depression, unless the US Government reacts very presciently to turn this horrible economic tide around.
So if the question to answer is how much better off are the largest US Financial Companies now than they were during their financial meltdown fiscal years, the answer is more than $1 Trillion better as audited earnings under US generally accepted accounting principles (US GAAP) are measured by the very prestigious US accounting profession.
It's pretty clear to me that there has been something nearly miraculous happening on a widespread basis with the largest US Financial Companies Earnings all over the country in the past six years and very prescient economic actions by former US Fed Chairman Ben Bernanke played a very pivotal role here in resuscitating many of these US Financial Companies from the abyss.
It should be pointed out that the main reason 2013 Total Earnings are so much higher than 2014 Total Earnings is because there are large one-time Tax Benefits recorded in 2013 for both Fannie Mae and Freddie Mac, since 2013 was the year when it was decided that it was more likely than not that the tax benefits on the massive past year Losses would be realized.
| FYE | FYE | FYE | FYE | FYE | FYE | FYE | FYE | |||
| 2014 | 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | 2007 | |||
| Total | Total | Total | Total | Total | Total | Total | Total | |||
| Audited | Audited | Audited | Audited | Audited | Audited | Audited | Audited | |||
| Minimum | # Of | US GAAP | US GAAP | US GAAP | US GAAP | US GAAP | US GAAP | US GAAP | US GAAP | |
| Stock | Financial | Net | Net | Net | Net | Net | Net | Net | Net | |
| Market | Companies | Income | Income | Income | Income | Income | Income | Income | Income | |
| Cap | (Loss) | (Loss) | (Loss) | (Loss) | (Loss) | (Loss) | (Loss) | (Loss) | ||
| $ Bils | $ Bils | $ Bils | $ Bils | $ Bils | $ Bils | $ Bils | $ Bils | |||
| NY, NJ and CT | $1 Bil | 113 | 135 | 138 | 106 | 111 | 113 | 39 | (142) | 108 |
| DC, VA, MD and DE | $1 Bil | 27 | 33 | 145 | 41 | (13) | (19) | (93) | (110) | 2 |
| California | $1 Bil | 61 | 48 | 50 | 43 | 34 | 30 | 33 | 0 | 15 |
| All Other US States | $2 Bil | 200 | 124 | 119 | 95 | 72 | 61 | 27 | (6) | 77 |
| Total All US States | 401 | 339 | 451 | 285 | 204 | 185 | 6 | (259) | 202 | |
| Total Earnings 2014 and 2013 | 790 | |||||||||
| Total Losses 2009 and 2008 | (253) | |||||||||
| …Total Earnings Improvement | 1,043 | |||||||||
| Total Earnings 2014 and 2013 | 790 | |||||||||
| Fannie Mae Total Earnings 2014 and 2013 | 98 | |||||||||
| Freddie Mac Total Earnings 2014 and 2013 | 56 | |||||||||
| Total Earnings 2014 and 2013 Excluding Fannie and Freddie | 636 | |||||||||
| Total Losses 2009 and 2008 | (253) | |||||||||
| Fannie Mae Total Losses 2009 and 2008 | (130) | |||||||||
| Freddie Mac Total Losses 2009 and 2008 | (72) | |||||||||
| Total Earnings 2014 and 2013 Excluding Fannie and Freddie | (51) | |||||||||
| 2014 and 2013 % Earnings Increase Excluding Fannie and Freddie | 1,358% | |||||||||
Next up is just how did the key US Broad-based Manufacturing Companies perform before, during and after the 2008 US Financial Meltdown?
